Use the Following to Answer Question(s): Correcting for Market Failure

Use the following to answer question(s) : Correcting for Market Failure: External Cost

-(Exhibit: Correcting for Market Failure: External Cost) Assume that there is an external cost involved, as illustrated in the exhibit.If the government intervenes to correct for the external cost, there will be a(n) ________ in _______ of _______ .

A) decrease; benefit; WTVR
B) increase; cost; WTUR
C) decrease; net benefit; TUV
D) increase; deadweight loss; TUV